Arrowhead Properties announce intention to acquire issued units in Vividend Income Fund

Posted On Tuesday, 01 April 2014 16:13 Published by eProp Commercial Property News
Rate this item
(0 votes)

Arrowhead Properties Limited (Arrowhead), the JSE-listed SA REIT (Real Estate Investment Trust), announced its firm intention to acquire all the issued units in Vividend Income Fund (Vividend) that it does not already own.

Gerald Leissner

In a firm intention announcement on the JSE's SENS today, unitholders were informed of the terms of the scheme of arrangement and, if the scheme is passed, Arrowhead proposes to acquire all the issued linked units in Vividend for a consideration of not less than 0.374 Arrowhead A and 0.374 Arrowhead B units for every Vividend unit.

Stanlib, which controls about 60.2 million Vividend units (representing about 22% of Vividend's issued units), has irrevocably undertaken to vote in favour of all resolutions necessary to approve the scheme.

The consideration offered in terms of the general offer, if it is made, will be the same as that offered under the Scheme.

If supported by Vividend unitholders, this transaction will increase Arrowhead's market capitalisation to around R5,5 billion and its portfolio to around R6 billion.

Gerald Leissner, Arrowhead CEO, says, "We are pleased that the Vividend transaction has had the support of the Vividend management and board.

The transaction is expected to create certainty and unlock significant value for Vividend shareholders by providing them with access to a larger more liquid fund with faster growing distributions.”

Last modified on Thursday, 17 April 2014 15:40

Most Popular

Residential sectional title sales again on the rise

May 27, 2021
Andrew_Golding_Golding_PropertyGroup
Over the past 15 years, the sectional title market in South Africa has become entrenched…

Ongoing property market uncertainty makes the right finance partner key to extracting value

May 26, 2021
Claire Denny
Results from the listed property sector in 2020 showed property values reducing by an…

Pick n Pay and Fortress co-invest in a super distribution centre development

May 26, 2021
Fortress_Pick_n_Pay
Fortress REIT announced that their biggest logistics development to date was signed with…

Exemplar REITail declares final dividend of 49.07 cps and announces 100% distribution

May 25, 2021
Mall of Thembisa
Rural and township retail specialists, Exemplar REITail, have declared a final dividend…

East Rand Mall will soon deliver the first phase of its major taxi rank upgrade

May 26, 2021
Phase 1 upgrade to the taxi rank at EastRand Mall
The first-phase upgrade of East Rand Mall taxi rank in the retail heart of Boksburg,…

Please publish modules in offcanvas position.